Bloomberg Corn Rises as High Fertilizer Costs May Reduce U.S. Planting

By Jeff Wilson

Feb. 25 (Bloomberg) -- Corn rose for the third straight day on speculation that farmers in the U.S., the world’s largest producer and exporter, will plant less this year because of high fertilizer costs.

This week, the Department of Agriculture probably will reduce its forecast for corn acreage from earlier this month, a Bloomberg survey showed. Plantings may fall to 85.1 million acres from almost 86 million last year and 88 million projected on Feb. 12, according to the average of 14 analysts surveyed.

“Expectations for the USDA to estimate smaller planted acreage in 2009 is giving corn a boost,” said Dale Durchholz, a senior grain analyst for AgriVisor LLC in Bloomington, Illinois. “People are trying to figure out what farmers will ultimately plant.” more...